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Hayden is training a new MLO on advertising compliance and SAFE Act Disclosure Requirements. Which statement is accurate?

Correct Answer

C) Disclose conditions tied to the advertised offer

mortgage advertising must avoid misleading claims and satisfy APR/trigger-term rules. This item uses an exam-style scenario; any file details in the stem are illustrative and the governing rule controls the compliant response. The best answer is "Disclose conditions tied to the advertised offer".

Answer Options
A
Ignore the issue if the borrower orally agrees to continue.
B
Proceed based only on borrower preference and document the file later.
C
Disclose conditions tied to the advertised offer
D
Rely on sales practice rather than required verification, disclosure, or documentation.

Why This Is the Correct Answer

mortgage advertising must avoid misleading claims and satisfy APR/trigger-term rules. This item uses an exam-style scenario; any file details in the stem are illustrative and the governing rule controls the compliant response. The best answer is "Disclose conditions tied to the advertised offer".

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